Jan 30 (Reuters) - Atlantic Shores, a joint venture

between Shell Plc ( SHEL ) and France's EDF, reiterated its

commitment to delivering New Jersey's first offshore wind

project on Thursday, despite Shell's recent $1 billion write-off

related to the venture.

Shell's fourth-quarter earnings included $2.2 billion in

impairments, part of which was a $1 billion write-off for

Atlantic Shores, with Chief Financial Officer Sinead Gorman

stating that the project did not align with the company's

capabilities or return goals. Shell is now looking to monetize

its stake.

Atlantic Shores had submitted a proposal in July last year

to supply offshore wind energy to New Jersey as part of the

state's Fourth Offshore Wind Solicitation.

In response to Shell's write-off, Atlantic Shores affirmed

its dedication to progressing with the project, emphasizing its

compliance with obligations to local, state and federal partners

under existing leases and permits, the company said in a

statement.

"Business plans, projects, portfolio projections, and scopes

evolve over time - and as expected for large, capital-intensive

infrastructure projects like ours, our shareholders have always

prepared long-term strategies that contemplate multiple

scenarios that enable Atlantic Shores to reach its full

potential," the company stated.

The Atlantic Shores South wind project is expected to

generate up to 2,800 megawatts of electricity, enough to power

close to 1 million homes, according to the U.S. Interior

Department.

However, the broader offshore wind sector has faced

significant economic challenges, including soaring materials

costs, high interest rates and supply-chain delays.

Several major developers, including Orsted, Equinor ( EQNR )

, BP, Avangrid and Shell, have

canceled or sought to renegotiate power contracts for planned

U.S. wind farms with expected start dates between 2025 and 2028.

Offshore wind remains a target, as new U.S. President Donald

Trump is set to follow through on his pledge to halt such

projects, creating ongoing uncertainty for the industry.